CAT vs VMI: Which Is the Better Dividend Stock?
As of July 2026, CAT and VMI are closely matched. CAT offers the higher yield at 0.73%, VMI has the higher dividend-safety score, and VMI trades at the larger discount to fair value (-24%).
| Metric | CAT | VMI |
|---|---|---|
| Forward yield | 0.73% | 0.60% |
| Annual dividend | $6.52 | $2.90 |
| Payout ratio | 30% | 16% |
| Years of growth | 32 yr | 1 yr |
| 5-yr dividend growth | 7.2% | 8.6% |
| 5-yr total return | 321% | 95% |
| Dividend safety score | 90 (A) | 99 (A) |
| Fair value estimate | $485.52 | $370.15 |
| Upside to fair value | -45% | -24% |
| Frequency | quarterly | quarterly |
| Market cap | $409.3B | $9.4B |
| P/E ratio | 44.2 | 27.0 |
Higher yield
CAT
0.73%
Safer dividend
VMI
Grade A
Faster growth
VMI
8.6%
Better value
VMI
-24% upside
CAT vs VMI — FAQ
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